Use the information below to answer the following questions.
Saddle Company, a leather manufacturer, has a sales budget of $500,000 for February. The cost of sales is estimated to be 35% of sales. All materials purchased by Saddle Company are paid for in the month following the purchase. The beginning inventory for February is $10,000, and an ending inventory of $11,000 is desired. The trade payables balance at the beginning of February is $88,000.
-On certain occasions, managers may be prepared to release projected information to those outside the business. All the following circumstances could justify the release of information, except
A) when managers feel that the business is under threat of a takeover.
B) when asked by competitors.
C) when making an offer of new shares to the public.
D) when trying to raise finance for the business.

Question

Quizplus · Accepted Answer

Manages may release projected information to those outside the business in cases such as when the business is under threat of a takeover, when making an offer of new shares to the public, and when trying to raise finance for the business. However, managers would not release projected information to competitors as it could harm the business's competitive advantage.

Use the Information Below to Answer the Following Questions